NLMK USA sues US Steel for over $100 mln in damages

MOSCOW, Jan 28 (PRIME) -- NLMK USA, the U.S. division of Russian steelmaker Novolipetsk Steel (NLMK), has filed a suit against U.S. Steel seeking redemption of more than U.S. $100 million in damages due to unfair actions that led to rejection of NLMK’s requests to lift import duties from steel slubs, a representative of NLMK told PRIME on Thursday.

The U.S. Department of Commerce turned down NLMK’s requests to exclude slabs from the import duties after U.S. Steel said it would be able to cover 100% of NLMK USA’s demand for slabs, the representative said.

In its suit, NLMK says that it was a lie and that U.S. Steel was unable or didn’t plan to provide NLMK USA with slabs of the same technical characteristics in the necessary amounts. U.S. Steel deliberately submitted the incorrect information to the authority to undermine competitiveness of NLMK USA because it is now to pay the duties.

“As a result of this misinformation, the U.S. Department of Commerce rejected NLMK USA’s requests. The company demands more than $100 million as compensation of damage inflicted by the actions of U.S. Steel, as well as punitive sanctions for unfair practices,” the representative said.

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